Descartes Systems Group has introduced a new AI-powered Free Trade Intelligence (FTI) solution to streamline the process of analyzing 250 free trade agreements. The innovation promises to cut costs for companies engaged in global trade by simplifying the task of assessing duty savings opportunities.
Global trade compliance remains a major challenge for businesses, particularly for those using outdated systems like spreadsheets and isolated software. These methods often result in inefficiencies, increased risk, and missed chances to benefit from preferential tariffs. Descartes’ AI tool is designed to eliminate those problems by modernizing the compliance process.
How the AI solution works
The FTI solution is built on Descartes’ Global Logistics Network and features one of the most comprehensive global rule-of-origin libraries. It applies AI to analyze critical data like bills of materials, tariff classifications, and supplier declarations. The platform automatically tracks supplier responses, requalifies goods, and documents all decisions, ensuring compliance and transparency.
The AI evaluates key factors such as regional value content and tariff shift logic to provide precise qualification outcomes. This analysis is done in an auditable workflow, reducing the need for manual processes. The system also provides explainable recommendations, which are essential for internal compliance and customs audits.
One of the standout features of the platform is its seamless integration with enterprise resource planning (ERP) systems. This integration allows companies to embed AI-powered qualification checks directly into their trade compliance workflows. By doing so, businesses can avoid switching between disconnected systems and instead operate more cohesively.
What businesses gain from the platform
The FTI solution offers multiple benefits for manufacturers, importers, and exporters. First, it enables faster decisions on duty savings through AI-driven analysis across multiple agreements. This significantly cuts down the time needed for manual reviews and reduces compliance delays. The platform also streamlines internal audits by providing detailed documentation of reasoning and tariff shift logic behind each recommendation.
Automatic requalification is another major feature, reducing the need for constant supplier outreach and data collection. The tool tracks supplier declarations and triggers requalification based on predefined criteria. This automation lowers the administrative burden while ensuring up-to-date compliance.
Businesses also gain the ability to model different scenarios and evaluate sourcing alternatives. By simulating how different factors—such as supplier changes or trade agreement updates—affect qualification outcomes, companies can make smarter production and purchasing decisions. This proactive approach helps maximize preferential duty savings opportunities.
Brian Hodgson, General Manager of Global Trade Intelligence at Descartes, highlighted the need for more integrated compliance systems. He noted that many companies still rely on fragmented approaches, leading to inefficiencies and missed compliance targets. The new solution aims to consolidate regulatory expertise with AI capabilities to address these challenges directly.
Ken Wood, EVP of Product Management at Descartes, emphasized the growing demand for AI solutions that deliver measurable value. He added that Descartes FTI AI is tailored to meet the dynamic needs of modern supply chains, helping companies accelerate qualification processes, capture duty savings, and improve overall compliance readiness.
The tool is part of Descartes’ broader Global Trade Intelligence suite, which connects logistics-intensive businesses through its Global Logistics Network. The network supports a wide range of operations, from domestic and international shipments to customs compliance and transportation management.
Descartes continues to innovate to meet the needs of a rapidly evolving trade landscape. With the introduction of the FTI solution, the company is positioning itself as a leader in combining AI and regulatory compliance for better trade outcomes.